Overseas Investment Meetings To Help WA’s Budget Saving Measures

Briefings between State and Overseas investors are set to take place next week, with the Ben Wyatt, State Treasurer, visiting Europe and North America for meetings with potential and current investors.

The State’s prospective borrowing program will be discussed, as part of the Government’s commitment to budget repair and long term economic prospects.

Total borrowings from the WA Treasury Corporation, as of March 31st 2018, totalled $48.7 billion, including Consolidated Account borrowings of $26 billion.

Mr Wyatt said they will ensure the State locks in the lowest possible interest rate when refinancing its existing debt, however many of these debts will mature over the next four years.

Treasurer, Ben Wyatt, said the improvement in State finances since the 2017 election will present considerable opportunity to reduce our interest rate exposure.

“The improvement in State finances since May 2017 means that Western Australia is projected to save one tenth of one percent on interest on new borrowings,”

“With the State’s $8 billion borrowing program for 2018-19 this is anticipated to save up to $32 million over the next four years,” he said.

The increasing size of Western Australia’s borrowing activity means overseas investors are becoming more and more important.

WA only has 20-25% of its debt held by offshore investors, compared to an estimated 40% of debt held across the other states.

“As our financial position improves, we hope that WA becomes more attractive to overseas investors and this will lead to further reductions in the cost of the debt left by the Liberal and National parties,” explained Mr Wyatt.

The Treasurer will be accompanied overseas by Michael Barnes (State’s Under Treasurer), John Collins (WA Treasury Corporation CEO) and Roger Martine (Treasurer’s Chief of Staff).